VANCOUVER, Nov. 30 /CNW/ - Celebrating the successful integration of
Scotia Express Service and Maple Trust Company, Scotiabank today announced the
launch of Scotia Mortgage Authority.
"Scotia Mortgage Authority was created by bringing together the best of
two great organizations. As the No. 2 acquirer of Broker-originated mortgages,
we're well positioned to continue recording strong results in the mortgage
broker channel, by providing best-in-class service, products and relationship
management," said Robin Hibberd, Executive Vice-President, Personal Lending
and Insurance, Scotiabank. "This is an excellent opportunity to build on
Scotiabank's strong position as a leading provider of mortgage financing for
Scotiabank acquired the mortgage business of Maple Financial Group which
included Maple Trust Company - on February 14, 2006. With this purchase,
Scotiabank's mortgage originations through the mortgage broker channel were
doubled. At the time, Maple Trust's had $7.5 billion in mortgages under
administration and more than 42,000 mortgages outstanding.
The launch of Scotia Mortgage Authority will result in our Mortgage
Broker partners having access to a broader range of products for sale to their
clients. These include conventional mortgages, multiple adjustable rate
mortgage terms, lines of credit, and the popular and market leading Scotia
Total Equity Plan (STEP).
"We are strategically focused on increasing new sources of sustainable
revenues. Acquiring new customers is an important part of this strategy," said
John Webster, the former Maple Trust head who will lead Scotia Mortgage
Authority. "By growing our third-party mortgage origination channel, we will
develop many new partnerships with mortgage Brokers. This will lead to new
homeowners being introduced to Scotiabank, and create opportunities for great
new relationships." Mr. Webster unveiled Scotia Mortgage Authority in an
address at the Canadian Association of Accredited Mortgage Professionals
(CAAMP) conference in Vancouver.
As the No. 3 provider of retail mortgages in Canada, Scotiabank generates
approximately 40 per cent of new mortgage volumes through the mortgage broker
"With a very strong foundation, Scotia Mortgage Authority is well
positioned to continue being a leader in third party mortgage originations,"
added Mr. Webster. "We will distinguish ourselves and achieve this goal by
focusing on the things that brokers view as key in their selection of a
Mr. Webster said Scotia Mortgage Authority will focus on delivering
better service, offering a broad range of innovative, highly competitive
products, and effectively managing broker relationships.
A cornerstone of Scotia Mortgage Authority's offering to brokers is an
exclusive, business-to-business Web site that will enhance the efficiency of
the brokerage process, while garnering higher levels of interactivity and
Canadians hold about $880 billion in residential mortgage credit,
according to CAAMP's 2008 mortgage market report. Mortgage credit increased an
average of $82 billion per year, or 11.5 per cent in the last three years, and
an average of 7.2 per cent over the past 15 years. Banks account for
55 per cent of residential mortgage credit in Canada.
An estimated 72 per cent of mortgage holders consulted a bank for their
current mortgage, while 40 per cent consulted a mortgage broker, according to
the CAAMP report.
According to the Canada Mortgage and Housing Corporation (CMHC) 2007
Mortgage Consumer Survey, independent broker origination of mortgages is on
the rise, as brokers managed 33 per cent of home purchases last year, up
six per cent over 2006. The survey said more than 90 per cent of Canadians who
used independent brokers valued their service.
Scotiabank is one of North America's premier financial institutions and
Canada's most international bank. With more than 60,000 employees, Scotiabank
Group and its affiliates serve approximately 12.5 million customers in some
50 countries around the world. Scotiabank offers a diverse range of products
and services including personal, commercial, corporate and investment banking.
With $462 billion in assets (as at July 31, 2008), Scotiabank trades on the
Toronto (BNS) and New York Exchanges (BNS). For more information please visit
For further information: Frank Switzer, Scotiabank, at (416) 866-7238,
email@example.com; or Michelle Cobb, Scotiabank, at (778)
327-5451, or (778) 668-2995, firstname.lastname@example.org